Mary A. Malina

Managing Sexual Orientation Diversity The Impact on Firm Value

This article examines the relation between a firms stock market value and the extent to which the firm manages sexual orientation diversity in its workplace. To investigate this issue, we analyze the stock market reaction to the release of the inaugural corporate equality index (CEI). The CEI rates firms on how extensively they manage gay, lesbian, bisexual, and transgender (GLBT) workplace issues. The article is structured as a series of competing hypotheses that parallel societal views on GLBT workplace equality. Proponents of GLBT workplace equality suggest that good corporate citizenship increases firm value although opponents argue that the primary, if not sole, purpose of the firm is to maximize shareholder wealth, and that the value of the firm may be negatively affected due to public backlash. Our findings suggest that GLBT-friendly workplace policies are at worst value neutral and firms are not penalized for supporting GLBT workforce diversity.

Debating Diversity in Management Accounting Research

Abstract Purpose This paper chronicles the evolution of the academic debate regarding diversity in management accounting research and discusses its impact on the current state of management accounting research. Methodology/approach We review the stream of literature over the last 40-plus years that discusses diversity in management accounting. Findings Anthony’s 1972 paper in Sloan Management Review makes a call to academics to adjust the trajectory of management accounting research. Our review of the literature reveals that early responses in the 1980s and 1990s to Anthony’s call primarily came from U.S. academics who suggest a broader theoretical approach and more work in the field. After 2000, non-U.S. authors and non-U.S. journals take up the call for diversity and shift the discussion to the more fundamental topic of validating and accepting various research paradigms. The U.S. academic environment fosters a narrow yet important view of management account research. To balance the U.S. view, non-U.S. academics have the liberty of using diverse theories, paradigms, and methods. Originality/value The results of the study indicate that the challenge to moving management accounting research forward is for diverse research approaches to be valued and published in top accounting journals that tend to be U.S. based.

The Pyramid of Organizational Development as a Performance Measurement Model

If a comprehensive performance model for business is to be useful in an analytic and predictive sense, the model must capture the interrelationships of factors that influence organizational performance such as organizational maturity, size, products and services, management systems, industry characteristics, and environmental influences. Flamholtz includes a number of key factors in his model. However, Flamholtzs explication of the factors does call into question some aspects of the model. For instance, Flamholtz explicitly equates level of sales revenue with specific growth stages of the organization and implicitly equates level of sales revenue with the maturity of the organization. Although these factors may be correlated in many organizations, care must be taken so that the comprehensive performance model does not confound key factors.

Turnover and Unit-Level Financial Performance: An Analysis of the Costs and Benefits of Voluntary and Involuntary Turnover in Unskilled Jobs

Abstract Purpose We investigate outcomes associated with the turnover of unskilled workers, isolating its effects on revenue, cost, and profit. Little attention from researchers has been given to unskilled workers, a significant portion of the workforce. Methodology/approach This study investigates the relation between turnover among unskilled workers and financial performance using data from 527 hotels owned by the same lodging chain. The workers in our sample are full-time housekeepers and front desk attendants. Findings We find that the relation between turnover and performance differs by turnover type (voluntary vs. involuntary) and category of unskilled worker, reiterating the need to differentiate between turnover type and the importance of context in studying turnover. We challenge the assumption that voluntary turnover is categorically harmful and our results for front desk attendants support the view that organizations choose turnover levels that maximize performance. We also provide new evidence on the effects of involuntary turnover. Contrary to the established notion that dismissing less able employees should improve performance, we find that involuntary turnover has negative consequences. Research limitations/implications Our results demonstrate the importance of distinguishing voluntary turnover from involuntary turnover and the need to include both in models predicting turnover’s performance effects.